May 05, 2009

United States Of Goldman Sachs

The Federal Reserve Bank of New York shaped Washington's response to the financial crisis late last year, which buoyed Goldman Sachs Group Inc. and other Wall Street firms. Goldman received speedy approval to become a bank holding company in September and a $10 billion capital injection soon after.

During that time, the New York Fed's chairman, Stephen Friedman, sat on Goldman's board and had a large holding in Goldman stock, which because of Goldman's new status as a bank holding company was a violation of Federal Reserve policy.

The New York Fed asked for a waiver, which, after about 2½ months, the Fed granted. While it was weighing the request, Mr. Friedman bought 37,300 more Goldman shares in December. They've since risen $1.7 million in value.

Mr. Friedman also was overseeing the search for a new president of the New York Fed, an officer who has a critical role in setting monetary policy at the Federal Reserve. The choice was a former Goldman executive.

1 comment:

Fascism by financiers, that's what it is. And as if that's not bad enough, they're not even SMART financiers. They're the idiots who fucked up the entire world economy. The only thing they're good at is stealing more money for themselves. I suppose that could be called smart by someone who would also admire the acquisitive genius of malignant cancer cells. Because when you thrive individually, while the host dies around you, you're eventually going down too.